By RICK KARLIN Capitol bureau

Published 12:00 am, Wednesday, February 16, 2011

ALBANY -- The Republican-led state Senate passed Gov. Andrew Cuomo's 2 percent tax cap on local governments in late January.

But the Democratic-controlled Assembly went home Tuesday without bringing up the bill. And lawmakers won't be back in session until Feb. 28, after the Presidents Week break. Their return puts the Legislature just a month away from the new fiscal year, which starts April 1, and Cuomo's expressed desire for an on-time budget.

Assembly members increasingly agree that they won't take up an earnest discussion of Cuomo's tax cap -- one of the governor's key priorities -- until after the budget is done.

He was echoing Assembly Speaker Sheldon Silver's remarks on Monday, when he said there have been no three-way talks and no timetable for getting the measure done.

"I haven't heard a word on the tax cap," added Bob Reilly, D-Colonie, who said there's been far more talk of potential revenue-raisers such as extending the income tax surcharge for those who earn more than $200,000 beyond Dec. 31.

The tax cap is a relatively low priority for members of the Assembly Democrats' New York City delegation, which numerically dominates the chamber. That's because school taxes are proportionately lower in the city, which uses its own income tax to fund education.

School taxes upstate are typically the largest portion of a homeowner's property tax burden. Polls show voters support a cap, which is fiercely opposed by the state teachers union as well as other government groups.

When asked if she thought there would be a vote on the measure anytime soon, Brooklyn Democrat Helene Weinstein shrugged and said that was a discussion "above my pay grade."

"I haven't thought much about that," conceded Assemblyman Keith Wright of Manhattan, who also serves as that county's Democratic chairman.

Assembly Republicans say they are frustrated by the lack of action.

"No more delays, stall tactics or Albany games -- it's time for a vote," Republican Minority Leader Brian Kolb said in a statement earlier in the week.

Lawmakers say the cap's fate is likely tied to a number of items on lawmakers' wish lists. "Their prime concern is rent control and a millionaires' tax," said Assemblyman Jim Tedisco, R-Schenectady.

"There's division within the conference," said Peter Lopez, R-Schoharie. He said he's heard from several New York City lawmakers who believe they should go ahead and quickly approve the cap. But making such a move early, they reason, would give them time next year -- when the cap took effect and as the 2012 elections approach -- to try to "rebuild" services, Lopez said.

Others simply assume Silver, who is a master at delaying actions until he gets what he wants, is holding out for any number of reasons.